Building India’s Economic Strength: G Kishan Reddy Highlights Steel as the Backbone and Coal & Mines as the Essential Foundation

Union Minister of Coal and Mines, G. Kishan Reddy, spoke at the 6th edition of India Steel, an important exhibition in Mumbai that brings together policymakers, industry leaders, and researchers to discuss the steel sector’s future. During his keynote address, he highlighted the central role of steel in India’s economic growth and the goal of becoming a developed nation by 2047.

Reddy pointed out that India’s steel industry has made impressive strides, making it the second-largest steel producer in the world. He referenced Prime Minister Narendra Modi’s remarks about steel being a “Sunrise Sector,” essential for increasing domestic consumption and achieving self-reliance as part of the Atmanirbhar Bharat initiative.

The Minister emphasized that while steel underpins the economy, the coal and mining sectors are critical for providing the raw materials needed for production. He discussed the significance of ensuring a consistent supply of essential resources, like iron ore and coking coal, highlighting their importance in bolstering economic stability.

According to recent Energy Statistics, coal accounts for nearly 60% of India’s energy needs and 70% of its electricity generation. As India aims to enhance its renewable energy capacity, coal will still play a pivotal role in the coming years.

Focusing on coking coal—key for steel production—Reddy noted that India imports about 85% of its coking coal, which makes the sector vulnerable to international market fluctuations. The government has initiated the Mission Coking Coal to reduce this dependence, with initiatives aimed at boosting domestic production and utilizing more local coal in steelmaking.

India has vast iron ore reserves totaling over 35 billion tons, making it the fifth-largest globally. In the fiscal year 2024-25, India produced 263 million tons of iron ore and exported 50 million tons. However, the country faces challenges as more than 66% of these reserves are medium and low-grade, requiring enhancements in beneficiation processes.

To address this, the Ministry of Mines is exploring new policies to promote the efficient use of lower-grade ore. These initiatives aim to encourage private investment and streamline the mining sector’s development processes.

Reddy also stressed the need for timely utilization of new mining sites to prevent wasting resources. The government is working to expedite development by improving coordination with environmental authorities and removing bureaucratic bottlenecks.

In line with sustainability goals, the National Coal Gasification Mission aims for 100 million tons of gasification by 2030, promoting cleaner alternatives for steelmaking. This mission also targets significant investments aimed at improving efficiency and reducing emissions in the industry.

The call for recycling critical minerals from mining waste has also gained traction. By recovering these resources, India can support the development of advanced technologies and reduce its environmental footprint.

The conference was not just a talk shop. It facilitated meaningful discussions and demonstrated India’s commitment to a sustainable industrial future. Prime Minister Modi, in his video address, highlighted the necessity of collaboration in this sector.

As the steel industry evolves, innovative practices will be crucial. The India Steel Expo serves as a vital platform for promoting sustainable growth, leveraging digital technologies, and tackling the unique challenges that come with global economic shifts.

The active participation from both the Ministry of Coal and various stakeholders confirms the importance of integrating the coal and steel sectors to advance India’s industrial landscape.

For those interested in the evolving dynamics of these sectors, further insights can be found in trusted resources such as the Ministry of Energy and the Ministry of Mines, which provide up-to-date data, reports, and strategic initiatives aimed at fostering a resilient and self-reliant future for India’s steel production.

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